Short Inc Has 5,200 Machine Hours Available Each Month Required:
A

Essay

Short Inc. has 5,200 machine hours available each month. The following information on the company's three products is available:
$$\begin{array} { l r r r } & \text { Product 1 } & \text { Product 2 } & \text { Product 3 } \\\text { Contribution margin per unit } & \$ 45.00 & \$ 5 4 . 0 0 &\$ 2 2 . 5 0 \\\text { Machine hours per unit } & 3 & 2 & 1 \\\text { Sales demand in urits } & 900 & 1,000 & \mathbf { 3 , 0 0 0 }\end{array}$$
Required:
a. What production schedule will maximize the company's profits?
b. What will be the maximum possible contribution margin?